TLDR
- Tokyo-based Metaplanet Inc announces major bitcoin purchasing strategy spanning through 2026
- The company plans to raise approximately $740 million through share warrants
- Target acquisition: 10,000 BTC by 2025, expanding to 21,000 BTC by 2026
- Company reported exceptional Q4 2024 performance with 309.82% BTC Yield
- Share price increased 5% following the strategic announcement
A major corporate bitcoin acquisition strategy has emerged from Tokyo as Metaplanet Inc revealed its plans to purchase 21,000 bitcoin over the next two years. The announcement, made on Tuesday, outlines a structured approach to becoming one of the world’s leading corporate bitcoin holders.
Metaplanet’s strategy involves an initial target of acquiring 10,000 bitcoin by the end of 2025, followed by an additional 11,000 bitcoin through 2026. The company currently maintains a substantial asset portfolio valued at over $180 million.
The funding mechanism for this ambitious plan comes through what the company calls the “21 Million Plan,” which will issue 21 million shares via moving strike warrants. This approach is expected to generate 116.65 billion yen, approximately $740 million at current exchange rates.
The company has designed its warrant structure with careful consideration for existing shareholders. By setting the exercise price at 100% of the previous day’s closing price, Metaplanet aims to minimize dilution effects that often accompany traditional warrant offerings.
Recent performance metrics support the company’s strategic direction. During the fourth quarter of 2024, Metaplanet achieved a remarkable 309.82% BTC Yield, building upon its third-quarter performance of 41.7%.
The company’s Director of Bitcoin Strategy, Dylan LeClair, emphasized a departure from traditional corporate treasury approaches.
“Our benchmark isn’t tied to traditional currencies – we measure our success in bitcoin terms,” LeClair explained during the announcement.
Market response proved favorable, with Metaplanet’s stock closing 5% higher on Wednesday after the strategy became public. This positive reception suggests market confidence in the company’s direction.
The scale of this initiative positions Metaplanet to become a major player in corporate bitcoin holdings. The “21 Million Plan” name draws inspiration from bitcoin’s fixed supply cap, showing the company’s understanding of bitcoin’s fundamental properties.
LeClair reinforced the company’s long-term commitment, stating,
“We’re here to accumulate and lead, not sell. Bitcoin represents more than just an asset in our strategy – it’s our ultimate destination.”
The warrant offering structure demonstrates Metaplanet’s innovative approach to capital raising within the corporate bitcoin sector. This method allows for systematic accumulation while maintaining market price alignment.
Performance tracking will focus exclusively on bitcoin-denominated returns, marking a shift from traditional corporate treasury management approaches that typically measure success in fiat currencies.
The company’s current asset holdings provide a strong foundation for this expansion. With over $180 million in assets already under management, Metaplanet shows it has experience handling substantial portfolios.
Through this initiative, Metaplanet aims to establish a new standard for corporate bitcoin holdings in Asia. The plan represents one of the largest equity capital raises for bitcoin acquisition in the region’s history.
The strategy implementation includes specific quarterly targets and performance metrics. The company’s recent track record, particularly its Q4 2024 performance, suggests capability in executing large-scale bitcoin operations.
Metaplanet’s latest financial data indicates strong positioning for this initiative, with the company maintaining healthy cash reserves alongside its existing asset portfolio.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support